Sir Chottu Ram Memorial Society Versus CIT, Rohtak

2009 (11) TMI 962 - ITAT DELHI

I.T.A. No.3377/Del./2008 - Dated:- 20-11-2009 - SHRI K.D. RANJAN, ACCOUNTANT MEMBER AND SHRI GEORGE MATHAN, J UDICIAL MEMBER. Assessee by : Shri Rajeev Chawla, Adv. Revenue by : Shri Kishore B.,Sr.DR ORDER PER K.D. RANJAN, AM This appeal by the assessee is directed against the order u/s 80G(5)(vi) of the Income-tax Act, 1961, passed by the Commissioner of Income-tax, Rohtak. 2. The only issue for consideration relate to rejecting the renewal of approval u/s 80G(5)(vi) of the Income-tax Act, 1961 .....

d registration in earlier years. The CIT examined the objects of the society and also the activities of the trust during the last three years. The assessee was found to have awarded the scholarship, distributed sewing machines and shawls and felicitated the sportsmen/sportswomen. On the basis of activities, the CIT was of the view that society s activities were not in accordance with aims and objects as enshrined in the memorandum and articles of association as registered with Registrar of Firms .....

hat society was collecting room rent, accommodation rent and shop rent from various parties. He was of the opinion that society was engaged in letting out business which was not authorized by the memorandum and articles of association. Separate books of account were not maintained for this purpose. The CIT further noted that by publication of newspapers, magazines, books/pamphlets and their sales, the assessee was engaged in business activities. He was of the opinion that the income and expendit .....

and accordingly application for renewal of registration u/s 80G was rejected. 2. Before us, Ld.AR of the assessee submitted that on identical facts, registration was granted in earlier years. He also submitted that in clause (a) of Article 3 of memorandum of association, the assessee has been authorized to apply the income for any other object of public utility for benefit of all sections of society irrespective of their cast, colour, creed or religion . He also submitted that giving the propert .....

d the donations for widow was within the charitable activities of the society. Therefore, the assessee is entitled for registration u/s 80G of the Act. On the other hand, Ld. Sr. DR supported the order of CIT. 3. We have heard both the parties and gone through the material available on record. Ld. CIT has denied the extension of registration u/s 80G on the ground that the assessee was carrying on business of letting out properties, publication and also donating the amount to widows, granting sch .....